Trump Taj Mahal will close in September

Carl Icahn announced that the Trump Taj Mahal Casino Hotel will close after Labor Day weekend in September.

US.- Trump Taj Mahal Casino Hotel will close after Labor Day weekend in September, announced its owner Carl Icahn, leading to approximately 3,000 job losses.

According to Tony Rodio, President and CEO of Tropicana Entertainment, which has been managing the casino through a subsidiary since March, one of the main causes of the closure is the strike union workers began in July.

“Currently the Taj is losing multi-millions a month, and now with this strike, we see no path to profitability. It is one thing for a board to decide to invest tens of millions of dollars in a money-losing business when they have a turn-around plan,” explained Rodio. “But, the Taj board and the Icahn Enterprises board have the fiduciary duties as shareholders and our directors cannot just allow the Taj to continue burning through tens of millions of dollars when the Union has single-handedly blocked any path to profitability.”

Icahn told The Associated Press he has lost nearly US$100m on the Taj Mahal. “It was a bad bet. How much good money do you throw after bad?” said the billionaire.

Bob McDevitt, President of Unite Here Local 54, commented: “How petty. I would never have thought Carl Icahn was so one-dimensional. The great deal-maker would rather burn the Trump Taj Mahal down just so he can control the ashes. For a few million bucks he could have had labour peace and a content workforce, but instead he’d rather slam the door shut on these long-term workers just to punish them and attempt to break their strike.”

After Trump Taj Mahal Casino closes its doors, Atlantic City’s total number of casinos is to drop to seven.